EG 10-K & 10-Q changes, risk factors and insider trading

Our business, results of operations and financial conditions are subject to numerous risks and uncertainties. While we seek to identify, manage and mitigate risks to our business, risk and uncertainty cannot be eliminated or necessarily predicted. In connection with any investment decision with respect to our securities, you should carefully consider the following risk factors, as well as the other information contained in this report and our other filingsSEC with the SEC.filings. Additional risks and uncertainties not presently known to us or that we currently deem immaterial may also impair our business operations. Should any of these risks materialize, actual results may differ materially from the disclosed information, the trading value of our securities could be negatively impacted and our business, financial condition and results of operations could be materially and adversely affected.

We are exposed to unpredictable catastrophic events, including, but not limited to, weather-related and other natural catastrophes, as well as acts of terrorism and wars. The frequency and/or severity of some catastrophic events may be impacted in the future by the continued effects of climate change. Secondary perils, such as severe convective storms, may also become increasingly impactful. Climate change and resulting changes in global temperatures, weather patterns,patterns and sea levels may both increase the frequency and severity of natural catastrophes and the resulting losses in the future and impact our risk modeling assumptions. We cannot predict the impact that changing climate conditions, if any, may have on our results ofresults, operations or our financial condition. Additionally, we cannot predict how legal, regulatory and/or social responses to concerns around global climate change and the resulting impact on various sectors of the economy may impact our business. Any material reduction in our operating results caused by the occurrence of one or more catastrophes could inhibit our ability to pay dividends or to meet our interest and principal payment obligations. By way of illustration, during the past five calendar years, pre-tax catastrophe losses, net of reinsurance, were as follows:

We use projections of possible losses from future catastrophic events of varying types and magnitudes as a strategic underwriting tool. We use these loss projections to estimate our potential catastrophe losses in certain geographic areas and decide on the placement of retrocessional coverage or other actions to limit the extent of potential losses in a given geographic area. These loss projections are approximations,estimates, reliant on a mix of quantitative and qualitative processes, and actual losses may exceed the projections by a material amount.

We are required to maintain reserves to cover our ultimate liability of losses and LAE for both reported and unreported claims. These reserves are only estimates of what we believe the ultimate settlement and administration of claims will cost based on facts and circumstances known to us and incorporates actuarial and statistical analysis. Loss reserve estimates are reconsidered, as necessary, as experience develops and to reflect other changes in circumstances that may affect our estimate of ultimate loss, and this could potentially result in increases to our reserves. In setting reserves for our reinsurance liabilities, we rely on claims data supplied by our ceding companies and brokers, along with other data that may affect our estimate of ultimate loss and actuarial and statistical analysis to arrive at an estimate of ultimate liability for losses and LAE. The information received from our ceding companies is not always timely or accurate, which can contribute to inaccuracies in our loss projections. For the insurance and reinsurance businesses, ultimate losses may differ materially from our expectations at the time we underwrite the business. Because of the uncertainties that surround our estimates of loss and LAE reserves, we cannot be certain that ultimate losses and LAE payments will not exceed the estimates we make at any given time. For example, infor the quarteryear endedended, December 31, 2024,2025, the Company increased its loss reserves by $1.7$657 billion,million, pre-tax,pre-tax and net of reinsurance, primarily driven by net unfavorable development on prior year reserves from elevated loss experience in excess casualty and U.S. casualty insuranceliability lines ofprimarily business.on accident years 2022-2024. Loss experience in these lines of business is very unpredictable and has been exacerbated by social inflation factors such as uncertain legal system outcomes, increased frequency of high-severity claims and third-party litigation funding. If our reserves are deficient in future periods, we may be required to increase loss reserves in the period in which such deficiencies are identified which would cause a charge to our earnings, a reduction of capital and could result in adverse effects on our business, financial condition, results of operation or liquidity.

During the past five calendar years, the reserve refinement process resulted in a decrease to our pre-tax net income in 20242025 and 20202024 and resulted in an increase to our pre-tax net income in 2023, 2022 and 2021:

The difficulty in estimating our reserves is significantly more challenging as it relates to reserving for potential asbestos and environmental (“A&E”) liabilities. As of December 31, 2024,2025, 0.9%0.6% of our gross reserves were comprised of A&E reserves. A&E liabilities are especially hard to estimate for many reasons, including the long delays between exposure and manifestation of any bodily injury or property damage, difficulty in identifying the source of the asbestos or environmental contamination, long reporting delays and difficulty in properly allocating liability for the asbestos or environmental damage. Legal tactics and judicial and legislative developments affecting the scope of insurers’ liability, which can be difficult to predict, also contribute to uncertainties in estimating reserves for A&E liabilities. In addition, since reserve estimates of aggregate loss costs for prior years are sometimes factored into pricing our insurance products, inaccurate reserves can lead to our products not being priced adequately to cover actual losses and related loss expenses in order to generate a profit.

Our success depends on our ability to accurately assess the risks associated with the businesses on which the risk is retained. If we fail to accurately assess the risks we retain, we may fail to establish adequate premium rates or contract terms (i.e. limits, deductibles, etc.) to cover our losses and LAE. In future years, insufficient premium rates may result in reserve deficiencies to the extent that higher than expected losses are incurred. This could reduce our net income and even result in a net loss.

In addition, lossesLosses may arise from events or exposures that are not anticipated when the coverage is priced. In addition to such unanticipated events, we also face the unanticipated expansion of our exposures, particularly in long-tail liability lines. An example of this is the expansion over time of the scope of insurers’ legal liability within the mass tort cases, particularly for A&E exposures discussed above.

•social inflation trends, including higher and more frequent claims, higher awards in favor of plaintiffs and increases in the value of claims due to thirdthird-party partylitigation funding;

Our active insurance company subsidiaries currently hold financial strength ratings assigned by third-party rating agencies which assess and rate the claims paying ability and financial strength of insurers and reinsurers. Financial strength ratings are used by cedents, agents and brokers to assess the financial strength and credit quality of reinsurers and insurers. As noted above, each of A.M. Best, S&P and Moody’s has assigned a negative outlook to our financial strength ratings. A downgrade or withdrawal of any of these ratings could adversely affect our ability to market our reinsurance and insurance products, our ability to compete with other reinsurers and insurers and our ability to write new business, which in turn could impact our profitability and results.

Consistent with market practice, much of our treaty reinsurance business allows the ceding company to terminate the contract or seek collateralization of our obligations in the event of a rating downgrade below a certain threshold. The termination provision would generally be triggered if a financial strength rating fell below A.M. Best’s or S&P A- rating level. To a lesser extent, Everest Re also has modest exposure to reinsurance contracts that contain provisions for obligatory funding of outstanding liabilities in the event of a rating agency downgrade. Those provisions would also generally be triggered if Everest Re’s rating fell below A.M. Best’s or S&P A- rating level.

In accordance with industry practice, we have uncollateralized receivables from insureds, agents and brokers and/or rely on agents and brokers to process our payments. We may not be able to collect amounts due from insureds, agents and brokers, resulting in a reduction to net income. We are subject to credit risk of reinsurers in connection with retrocessional arrangements because the transfer of risk to a reinsurer does not relieve us of our liability to the insured. In addition, reinsurers may be unwilling to pay us even though they are able to do so. The failure of one or more of our reinsurersreinsurers, including but not limited to the counterparties to the adverse development cover reinsurance agreements, to honor their obligations to us in a timely fashion would impact our cash flow and reduce our net income and could cause us to incur a significant loss.

OurThe investmentvalue valuesof andour overall investment income could decline due to changed conditions in the financial markets.markets and prevailing general economic conditions.

A significant portion of our investment portfolio consists of fixed income securities and smaller portions consist of equity securities and other investments, such as limited partnerships and other alternative investments. The fair value of our invested assets and associated investment income may fluctuate depending on various factors includingincluding, but not limited to the effects of economic events and conditions,conditions; governmental policies,policies; changes in interest ratesrates, currency exchange rates, inflation and credit spreads; credit ratings; loss frequency and severity; and market volatility. In addition, rapid or unprecedented changes in credit and equity market conditions could materially impact the valuation of securities. The volatility of our losses may force us to liquidate securities, which may cause us to incur capital losses. Realized and unrealized losses in our investment portfolio and changes in our estimates of current expected credit loss allowance can affect our financial condition, results of operations or liquidity and our ability to conduct business.

Our investment portfolio is subject to the risk of loss due to default or deterioration in the credit quality.quality, financial condition or future recovery prospects of the underlying issuers of our fixed income securities. As a part of our ongoing analysis of our investment portfolio, we are required to assess and estimate current expected credit losses for all held-to-maturity securities and evaluate expected credit losses for available-for-sale securities when fair value is below amortized cost, which considers reasonable and supportable forecasts of future economic conditions and estimated future cash flows in addition to information about past events and current conditions. If the issuers or other obligors of individual investments are unable to meet their obligations, investment income will be reduced and realized capital losses may arise.

We have exposure to counterparties through a variety of commercial transactions and arrangements, including reinsurance transactions and agreements with banks, hedge funds, private funds and other investment vehicles that expose us to credit risk in the event oura counterparty or an underlying issuer or borrower fails to perform its obligations.

Our future capital requirements depend on many factors, including rating agency and new regulatory requirements, the performance of our investment portfolio, our ability to write new business successfully, the frequency and severity of catastrophe events and our ability to establish premium rates and loss reserves at levels sufficient to cover losses. We may need to raise additional funds through debt or equity financings or access funds through existing or new credit facilities or through short-term repurchase agreements. We may also from time to time seek to refinance debt as amounts become due or commitments expire. Any equity or debt financing or refinancing, if available at all, may be on terms that are not favorable to us. In the case of equity financings, dilution to our shareholders could result, and in any case, such securities may have rights, preferences and privileges that are senior to those of our common shares. Our access to funds under existing credit facilities is dependent on the ability of the banks that are party to the facilities to meet their funding commitments.

We conduct business in a variety of non-U.S. currencies, principally the Euro, the British pound and the Canadian dollar. Assets, liabilities, revenues and expenses denominated in foreign currencies are exposed to changes in currency exchange rates. Our reporting currency is the U.S. dollar, and exchange rate fluctuations, especially relative to the U.S. dollar, may materially impact our results and financial position. In 2024,2025, we wrote approximately 29.1%31.7% of our coverages in non-U.S. currencies; as of December 31, 2025, we maintained approximately 26.9% of our investment portfolio in investments denominated in non-U.S. currencies.

While consideration is given to the levels of inflation and how that may impact premiums and claims, the impacts of inflation may be different than anticipated. Premiums are established before actual losses are known, which may result in some underpricing if inflation rises more rapidly than expected, ultimately creating a deficiency that may impact our financial position. Higher inflation could lead to higher interest rates, which would negatively impact the value of our existing fixed income or other investments.

In 2025, the Company had various promotions and new executive leadership appointments. Our success has been, and will continue to be, dependent on our ability to retain the services of our existing key executives and other key employees, and to attract and retain additional qualified personnel in the future. The loss of the services of any key executive officer, the failure to successfully effectuate a permanent leadership transition or the inability to hire and retain other highly qualified personnel in the future, particularly those experienced in the property and casualty industry,future could adversely affect our ability to conduct business. Changes to or turnover among senior management or key executives could also disrupt the Company’s strategic focus, operational capabilities and may impede our ability to act quickly and efficiently in executing our business strategy. Additionally, the emergence of new technologies, including artificial intelligence (“AI”), requiring in new skill sets and changes in local employment legislation, taxation and the approach of regulatory bodies to compensation practices within our operating jurisdictions may result in difficulty in attracting, developing and retaining key personnel. Special considerations apply to our Bermuda operations. Under Bermuda law, non-Bermudians, other than spouses of Bermudians and individuals holding permanent or working resident certificates, are not permitted to engage in any gainful occupation in Bermuda without a work permit issued by the Bermuda government. Currently, all of our Bermuda-based professional employees who require work permits have been granted permits by the Bermuda government that expire at various times between June 2027 and March 2030.

We rely on our processes, people and systems to maintain and execute our operations. We seek to monitor and control our exposure to risks arising from these processes through an enterprise risk management framework, internal controls, management review and other processes. WeOur cannotprocesses, providepeople totaland assurancesystems thatmay these processes willnot effectively identify or control all risks, or thatand our employees and third-party agents willmay not effectively execute them. Losses may result from, among other things, actual or alleged fraud; errors; employee misconduct or failure to document transactions properly, obtain proper internal authorization, comply with underwriting or other internal guidelines or comply with regulatory requirements. It is not always possible to deter or prevent employee misconduct, and the precautions that we take to prevent and detect this activity may not be effective in all cases. Resulting losses could adversely affect our business, results of operations and financial condition.

Cybersecurity threats and incidents have increased in recent years, heightening related risks. AI technologies are quickly evolving and being adopted, which may also increase or intensify potential cybersecurity risks. We are dependent upon our information technology platform, including our processing systems, data and electronic transmissions in our business operations. Security breaches and other cyber threats, including those at third parties that have our information, could expose us to the loss or misuse of our technology systems or information, litigation and potential liability. In addition, cyber incidents that impact the confidentiality, integrity, availability, authenticity or other proper functioning of these systems could have a significant negative impact on our operations and possibly our financial results. An incident could also result in a violation of applicable privacy and other laws, damage our reputation, cause a loss of customers, result in regulatory action or give rise to monetary fines and other penalties, which could be significant, and ultimately have a material adverse effect on our business or operations. TheWe may be unable to anticipate cybersecurity regulatorythreats, environment is evolving,react in particulara withtimely respectmanner and may be required to emergingdevote technologies,substantial suchadditional asresources artificialto intelligence,modify or enhance our information security systems, networks and itcybersecurity isprogram likelyand thatto defray the costs of complying with new or developing regulatory requirementsrequirements. willWhile increase. Wewe are not aware of a cybersecurity incident that materially affected the Company, including its business strategy, results of operations or financial condition.condition, a future cybersecurity incident could have a material impact on us.

Exposure to cybersecurity risk is increasing systematically due to greater digital dependencedependence, emerging technologies such as AI and increased possible losses due to a catastrophic cybersecurity event. CyberCybersecurity catastrophesincidents are not bound by time or geographic limitationslimitations. and cyber catastrophicRelated perils do not have well-established definitions and fundamental physical properties. Rather, cybersecurity risks are engineered by human actorsproperties and thusmay are continuously evolving, often in ways that arebe engineered specifically to evade established loss mitigation controls. Any losses incurred from these risks are also dependent on our clients’ and our third-party service providers' cybersecurity practices and defenses, as well as how policycontract terms and conditions interact with the evolving threat landscape.landscape which is out of our control. Some of our service providers may store or have access to our data and may not have effective controls, processes or practices to protect our information. A vulnerability in our service providers’ software or systems or failure of safeguards, policies or procedures, could result in a cyberattack or other incident which could harm our business.

We rely on brokers and agents. Our relationship with this distribution network is based on quality of underwriting, claim services, financial strength and other factors, which could weaken. Deterioration in relationships with our broker and agent distribution network or their increased promotion and distribution of our competitors’ products could adversely affect our ability to sell our products. Loss of all or a substantial portion of the business provided by one or more of these brokers or agents could have an adverse effect on our business.

As a financial services company, we are exposed to model risk. We utilize financial models to derive metrics and drive analysis to assist in decision making across key areas, such as pricing, underwriting, reserving, investment management, ceding business, capital allocation and risk management. These models incorporate numerous assumptions and forecasts about the future level of financial metrics, including interest rates, inflation, credit spreads and equity markets. These models may not operate properly, may contain incorrect information and errors and may rely on assumptions and projections that are inherently uncertain.uncertain which could lead to material variations from actual results.

Our operations are subject to business continuation and resiliency risk.

Across our global business centers, there is risk that our operations, systems or data, or those of third parties on whom we rely, may be disrupted. We may experience a disruption in business continuity as a result of pandemic and public health crises, geopolitical risks including armed conflict and civil unrest, terrorist events, natural disasters, cyber-attackscyber or other information technology related-incidents affecting technology services, supply-chain disruptions, as well as governmental, business and societal responses to such events, such as restrictions on public gatherings, sanctions, trade restrictions,restrictions and increased unemployment and supply chain disruptions.unemployment. All such events may ultimately result in workforce unavailability among other operational impacts.

Our industry is highly competitive,competitive and rapidly evolving, and we may not be able to compete successfully in the future.

According to S&P, Everest ranks among the top ten global property and casualty reinsurance groups. The worldwide net premium written by the Top 40 global reinsurance groups for both life and non-life business was estimated to be $318$347 billion in 20232024 according to data compiled by S&P. In addition to existing competitors, the entry of alternative capital market products and new company formationsformations, such as Insurtech companies, provide additional sources of reinsurance and insurance capacity, which could reduce our market share.share and adversely affect our business, results of operations and financial condition.

i.)anyi.any person that is not an investment company beneficially owning more than 5.0% of any class of the issued and outstanding share capital of Group, ii.)anyii.any person holding controlled shares in excess of 9.9% of any class of the issued and outstanding share capital of Group, or iii.)anyiii.any adverse tax, regulatory or legal consequences to Group, any of its subsidiaries or any of its shareholders;

i.)anyi.any person that is not an investment company beneficially owns more than 5.0% of any class of the issued and outstanding share capital of Group, ii.)anyii.any person holds controlled shares in excess of 9.9% of any class of the issued and outstanding share capital of Group, or iii.)shareiii.share ownership by any person may result in adverse tax, regulatory or legal consequences to Group, any of its subsidiaries or any other shareholder.

The Board has indicated that it will apply these bye-law provisions in such manner that “passive institutional investors” will be treated similarly to investment companies. For this purpose, “passive institutional investors” include all persons who are eligible, pursuant to Rule 13d-1(b)(1) under the Securities Exchange Act of 1934, as amended (the “Exchange Act”) to file a short-form statement on Schedule 13G, other than an insurance company or any parent holding company or control person of an insurance company.

Group is organized under the laws of Bermuda. Some of its directors and officers may reside outside the U.S.United States. A substantial portion of our assets are or may be located in jurisdictions outside the United States. As a result, a person may not be able to affect service of process within the United States on directors and officers of Group and those experts who reside outside the United States. A person also may not be able to recover against them or Group on judgments of U.S. courts or to obtain original judgments against them or Group in Bermuda courts, including judgments predicated upon civil liability provisions of the U.S. federal securities laws.

We are subject to extensive and increasing regulation under U.S.,U.S. federal, state and foreign insurance laws. These laws limit the amount of dividends that can be paid to us by our operating subsidiaries, impose restrictions on the amount and type of investments that we can hold, prescribe solvency, accounting and internal control standards that must be met and maintained and require us to maintain reserves. These laws also require disclosure of material inter-affiliate transactions and require prior approval of “extraordinary” transactions. Such “extraordinary” transactions include declaring dividends from operating subsidiaries that exceed statutory thresholds. These laws also generally require approval of changes of control of insurance companies. The application of these laws could affect our liquidity and ability to pay dividends, interest and other payments on securities, as applicable, and could restrict our ability to expand our business operations through acquisitions of new insurance subsidiaries. We may not have or maintain all required licenses and approvals or fully comply with the wide variety of applicable laws and regulations or the relevant authority’s interpretation of the laws and regulations. If we do not have the requisite licenses and approvals or do not comply with applicable regulatory requirements, the insurance regulatory authorities could preclude or temporarily suspend us from carrying on some or all of our activities or fine us. These types of actions could have a material adverse effect on our business. To date, no material fine, penalty or restriction has been imposed on us for failure to comply with any insurance law or regulation.

Regulatory and legislative developmentsdevelopments, as well as executive orders, related to cybersecurity, privacy, data protection and artificial intelligenceAI could have an adverse impact on our business.

In October 2017, theThe NAIC adopted the”s Insurance Data Security Model Law (the “IDSML”), which was intended to establish theestablished standards for data security and for the investigation and notification of data breaches applicable to insurance licensees has been adopted in states28 adopting such law.states. The IDSML requires insurers, and other entities required to be licensed under state insurance laws, to comply with certain requirements, such as developing and maintaining a written information security program, conducting risk assessments and overseeing the data security practices of third-party vendors. The IDSML has now been adopted in 23 states. In addition, certain state insurance regulators are developing or have developed their own regulations that may impose additional regulatory requirements relating to cybersecurity on insurance and reinsurance companies. For example, the New York State Department of Financial Services has an applicable regulation pertaining to cybersecurity for all banking and insurance entities under its jurisdiction, effective as of March 1, 2017 and amended on November 1, 2023.jurisdiction. Regulation of cybersecurity, privacy and data protection, operational resiliency and artificial intelligenceAI has also developed globally.globally including but not limited to Bermuda’s Personal Information Protection Act, the UK’s Data Protection Act and EU’s General Data Protection Regulation. In 2024, European Union lawmakers also signed the Artificial Intelligence Act, which regulates certain use of AI within the European Union. We cannot predict the full impact these laws and regulations will have on our business, financial condition or results of operations, but our insurance and reinsurance companies could incur additional costs resulting from compliance with such laws and regulations.

During 2024, we formed a new “Other” segment, primarily comprised of the results of our sports and leisure business sold in October 2024, consisting of policies written prior to the sale and polices renewed and certain new business written on the Company’s paper post-sale. It also includes run-off asbestos and environmental (“A&E”) exposures, certain discontinued insurance programs primarily written prior to 2012 and certain discontinued insurance and reinsurance coverage classes. The Other segment does not generally sell insurance or reinsurance products but is responsible for the management of existing policies and settlement of related losses. These segment presentation changes have been reflected retrospectively. TheAs of December 31, 2025, the Company will continue to havehas two reportable segments that actively sell products, Reinsurance and Insurance, consistent with how the on-going business is managed. See Note 67 of the Notes to the Consolidated Financial Statements for a summary of segment results.

Our currentnet income of $1.6 billion for the year ended December 31, 2025 is inclusive of unfavorable development of prior-year loss reserves of $657 million. Our net income of $1.4 billion for the year ended December 31, 2024 is inclusive of unfavorable development of prior-year loss reserves of $1.5 billion. Following a comprehensive reserve review, weWe have significantly fortified our U.S. casualty reserves, while taking aggressive underwriting action in certain classes exposed to social inflation, bolstering talent and investing in our platform as we head into 2025.2026. In addition, we have entered into an adverse development reinsurance agreement reinsuring potential adverse loss development for accident years 2024 and prior arising out of North American liabilities within our Insurance and Other Segments and sold the renewal rights to certain lines of commercial retail insurance business. Refer to management’s discussion of consolidated and segment results below.

The following is a discussion and analysis of our results of operations, financial condition and liquidity and capital resources for the years ended December 31, 20242025 and 2023.2024. This discussion should be read in conjunction with the consolidated financial statements and related notes, under ITEM 8 of this Form 10-K. PursuantComparisons tobetween the Fixing America’s Surface Transportation Act Modernization2024 and Simplification of Regulation S-K, comparisons between 2023 and 2022 have been omitted from this Form 10-K but can be found in "Management's Discussion and Analysis of Financial Condition and Results of Operations" in Part II, Item 7 of our Form 10-K for the year ended December 31, 2023.2024.

Premiums earned increased by 13.0%2.5% to $15.6 billion in 2025, compared to $15.2 billion in 2024, compared to $13.4 billion in 2023, which is consistent with the percentage changes in gross written premiums.2024. The change in premiums earned relative to net written premiums was primarily the result of timing as the higher base premium written in 2024 is being earned through the 2025 period; premiums are earned ratably over the coverage period whereas written premiums are generally recorded at the initiation of the coverage period.

Incurred losses and LAE increaseddecreased by 34.1%3.9% to $10.9 billion in 2025, compared to $11.3 billion in 2024, compared to $8.4 billion in 2023, primarily due to ana increase of $1.1 billiondecrease in current year attritional losses, an increase of $423 million in current year catastrophe losses and unfavorable development on prior year attritional losses of $1.5$725 billion,million and a decrease of $73 million in current year catastrophe losses, partially offset by an increase of $308 million in current year attritional losses and a decrease in favorable development on prior year catastrophe losses of $138$45 million.

The increase in current year attritional losses was mainly due to the strengthening of U.S. casualty reserves. Unfavorable development on prior year attritional losses was $751 million in 2025 compared to unfavorable development of $1.5 billion in 2024 compared to favorable development of $5 million in 2023.2024. The net unfavorable development on prior year attritional reserves of $1.5$751 billionmillion in 20242025 is comprised of $1.1$471 billionmillion of unfavorable development on prior years attritional losses from the Insurance segment,segment mainlydue drivento byreserve a combination of social inflation and portfolio concentrationsstrengthening in certain U.S. casualty lines of business driven by elevated loss experience in excess casualty and $403U.S. liability lines primarily on accident years 2022-2024, and $163 million of unfavorable development onin priorour yearsOther attritionalsegment losseswhich was driven by U.S. casualty lines, primarily from the Other segment, mainly related to certainour sports and leisure lines for accident years 2019 through 2023, including A&E reserve strengthening of $54 million.business. In addition, the Reinsurance segment recorded $684 million of unfavorable development on prior yearyear, primarily related to aviation losses associated with the Russia/Ukraine war and casualty reserves.reserves, This unfavorable development in the Reinsurance segment was largelypartially offset by favorable development booked on well-seasoned reserves in the property and mortgage lines. Embedded in the amounts noted above is $122 million of prior year losses related to the ADC.

Other Underwriting Expenses. Other underwriting expenses were $938$1.0 millionbillion and $846$938 million in 20242025 and 2023,2024, respectively. The increase in other underwriting expenses was mainly due to the impact of the increase in premiums earned as well as thestrategic continuedactions buildtaken out of ourin insurance operations, including an expansion of the international insurance platform.operations. Refer to the “Ratios” section for other underwriting expense ratio analysis discussion.

Corporate Expenses. Corporate expenses, which are general operating expenses that are not allocated to segments, were $95$109 million and $73$95 million for the years ended December 31, 20242025 and 2023,2024, respectively. The increase in 20242025 compared to 20232024 was primarily due to informationan managementincrease in other professional services related costs,to includingconsulting thefees acceleration of cybersecurity,for corporate applicationsinitiatives and infrastructure investments as well as an increase in compensationlease costsrent due to increased headcount from the prior year.expenses.

Interest, Fees and Bond Issue Cost Amortization Expense. Interest, fees and other bond amortization expense was $149$151 million and $134$149 million in 20242025 and 2023,2024, respectively. The increase was primarily driven by higher interest costs resulting from additional borrowings fromon the Federal Home Loan Bank of New York (“FHLBNY”), partially offset by the change in the floating interest rate related to the Company’s outstanding fixed to floating rate long-term subordinated notes, which is reset quarterly per the note agreement. The floating rate was 6.50% as of December 31, 2025, compared to 7.17% as of December 31, 2024, compared to 8.03% as of December 31, 2023.2024.

Income Tax Expense (Benefit). Everest had an incomeIncome tax expense ofwas $296 million and $120 million and income tax benefit of $363 million in 20242025 and 2023,2024, respectively. An income tax expense/benefit is primarily a function of the geographic location of the Company’s pre-tax income and the statutory tax rates in those jurisdictions. The effective tax rate (“ETR”) is primarily affected by tax-exempt investment income, foreign tax credits and dividends. Variations in the ETR generally result from changes in the relative levels of pre-tax income, including the impact of catastrophe losses and net capital gains (losses), among jurisdictions with different tax rates. The tax benefit in 2023 was primarily due to the implementation of the provisions of the Bermuda Corporate Income Tax Act of 2023 (“The 2023 Act”).

On December 27, 2023, the Government of Bermuda enacted the Corporate Income Tax Act 2023 (the “The 2023 Act”), which will apply a 15% corporate income tax to certain Bermuda businesses in fiscal years beginning on or after January 1, 2025. The 2023 Act includes a provision referred to as “The Economic Transition Adjustment” (the “ETA”), which is intended to provide a fair and equitable transition into the new tax regime, and results in a deferred tax benefit for the Company. However, on January 15, 2025, the OECD issued Guidanceguidance related to “deferred tax assets arising from tax benefits provided by General Government” whereby it has restricted the utilization of those deferred tax benefits against the computation of its Pillar Two Global Minimum Taxes to approximately 20% of the originally calculated amounts and only for a grace period of two years through 2026. If the Bermuda Ministry of Finance amends The 2023 Act in response to this Guidance,guidance, the exact impact of any such amendments is uncertain but there is a risk that it results in a reduction in the Company's Deferred Tax Assets.

Our net income was $1.4$1.6 billion and $2.5$1.4 billion in 20242025 and 2023,2024, respectively. The declineperiod wasover period changes in net income were primarily driven by a decrease in underwriting income of $1.6 billion resulting from the unfavorablefinancial priorcomponent yearfluctuations developmentexplained recognized in 2024, partially offset by an increase of $520 million in net investment income.above.

Our combined ratio increaseddecreased by 11.43.7 points to 98.6% in 2025, compared to 102.3% in 2024, compared to 90.9% in 2023.2024. The current year increasedecrease is primarily due to lower unfavorable prior year development on attritional losses and higherlower current year catastrophe losses.

The loss ratio component increaseddecreased by 11.74.6 points to 69.8% in 20242025, overcompared theto same74.4% periodin last2024. yearThe decrease was mainly due to ana increasedecrease of $423$73 million in current year catastrophe losses and lower unfavorable prior year development on attritional losses.

The commission and brokerage ratio components decreasedincreased to 22.2% in 2025, compared to 21.7% in 2024, compared to 22.0% in 2023.2024. The decreaseincrease was mainly due to changes in the mix of business.

The other underwriting expense ratio decreasedincreased to 6.6% in 2025, compared to 6.2% in 2024, compared to 6.3% in 2023.2024. The decreaseincrease was mainly due to higher Insurance segment expenses driven by strategic actions, offset by Reinsurance segment continued leverage against its premium base, offset by Insurance segment expenses driven by continued international growth.base.

Shareholders’ equity increased by $673$1.6 millionbillion to $15.5 billion at December 31, 2025 from $13.9 billion at December 31, 2024 from $13.2 billion at December 31, 2023,2024, principally as a result of $1.4$1.6 billion of net income, partially offset by $334 million of shareholder dividends, $200 million of share repurchases, $128 million of net foreign currency translation adjustments and $127$854 million of unrealized depreciationappreciation on fixed income available for sale securities, net of tax.tax and $242 million of net foreign currency translation gains, partially offset by $797 million of share repurchases and $335 million of shareholder dividends.

Net investment income increased by 36.3%8.7% to $2.0$2.1 billion in 2024,2025, compared with net investment income of $1.4$2.0 billion in 2023.2024. The increase was primarily the result of an additionalincrease $382of $91 million of income fromin fixed maturity and short-term investments,maturities, an increase of $84$71 million in income from limited partnerships and an increase of $45$20 million in income from other alternative investments. The limited partnership income primarily reflects changes in their reported net asset values. As such, until these asset values are monetized and the resultant income is distributed, they are subject to volatile results of future increases or decreases in the asset value.

The Company’s investment portfolio includes structured commercial mortgage-backed securities (“CMBS”) with a book value of $985$1.6 millionbillion and a fair value of $921$1.5 million.billion. As of December 31, 2024,2025, 85.2%64.3% of CMBS securities in our investment portfolio are rated AAA by nationally recognized rating agencies. The remainder of CMBS securities in our investment portfolio are rated investment grade by nationally recognized rating agencies.

(1) Fixed maturities-available for sale are at fair value and fixed maturities-held to maturity are at amortized cost, net of allowances for credit losses.

Total net gains (losses) on investments in 20242025 primarily consist of $7$112 million of net gainslosses due to the disposition of investments and aan decreaseincrease to the allowance for credit losses of $13$30 million. The realized gains from dispositions of investments mainly related to the execution of a Company strategy to sell lower yielding investments in order to reinvest the proceeds at higher interest rates.

During the fourth quarter of 2024, the Company revised its classification and presentation of certain run-off business, previously included within the Reinsurance and Insurance reportable segments, as part of a new segment called "Other". The new Other segment includes the results of our sports and leisure business sold in October 2024, consisting of policies written prior to the sale and polices renewed and certain new business written on the Company’s paper post-sale. It also includes run-off A&E exposures, certain discontinued insurance programs primarily written prior to 2012 and certain discontinued insurance and reinsurance coverage classes. The Other segment does not generally sell insurance or reinsurance products but is responsible for the management of existing policies and settlement of related losses. Additionally, during the fourth quarter of 2023, the Company revised the classification and presentation of certain products related to its accident and health business within the reportable segment groupings. These products have been realigned from within the Reinsurance segment to the Insurance segment to appropriately reflect how the business segments are managed due to changes in management implemented during the fourth quarter of 2023. These segment presentation changes have been reflected retrospectively. The Company will continue to have two reportable segments that actively sell products, Reinsurance and Insurance, consistent with how the on-going business is managed.

Premiums. Gross written premiums increaseddecreased by 12.9%0.9% to $12.8 billion in 2025 from $12.9 billion in 2024 from $11.5 billion in 2023.2024. The increasedecrease in gross written premiums reflectswas growthprimarily acrossdue multipleto North America casualty pro rata and casualty excess of loss lines of business, particularlypartially offset by an increase in the property andbook casualty pro rataof business and propertyfinancial catastrophe excess of losslines business.

Net written premiums decreased by 1.5% to $11.8 billion in 2025, compared to $12.0 billion in 2024. The current year over prior year decrease was primarily due to changes in cessions and overall mix of business Premiums earned increased by 16.5%2.8% to $11.7 billion in 2025, compared to $11.4 billion in 2024, comparedprimarily todriven $9.8by billionincreased inproperty 2023.pro rata business written that was recorded over the prior quarters which are now being earned, partially offset by casualty pro rata lines. The change in premiums earned relative to net written premiums is primarily the result of timing; premiums are earned ratably over the coverage periodperiod, whereas written premiums are generally recorded at the initiation of the coverage period.

Incurred losses increased by 24.8%5.8% to $7.5 billion in 2025, compared to $7.1 billion in 2024, compared to $5.7 billion in 2023.2024. The increase was primarily due to an increase of $815$264 million in current year attritional losses, an increase of $322 million in current year catastrophe losses and a decrease of favorableunfavorable development on prior year attritional reserves ($0of $117 million in 2024 and $401a milliondecrease in 2023), partially offset by favorable development on prior year catastrophe losses of $125$36 million.million, Thepartially increaseoffset by a decrease of $3 million in current year attritionalcatastrophe losses was mainly related to the impact of the increase in premiums earned. During the current year, prior year U.S. casualty reserves were strengthened by $684 million. This reserve strengthening was fully offset by favorable development on well-seasoned reserves in property and mortgage lines.losses.

The current year catastrophe losses of $768 million in 2025 related primarily to the 2025 Southern California wildfires ($502 million), Hurricane Melissa ($143 million), the 2025 Australian Storms ($47 million), Myanmar earthquake ($20 million) and Typhoon Ragasa ($20 million), with the remaining losses resulting from various events. The $772 million of current year catastrophe losses in 2024 related primarily to Hurricane Milton ($275 million), Hurricane Helene ($64 million), Hurricane Debby ($55 million), Hurricane Beryl ($54 million), the 2024 European flood Boris ($50 million), the 2024 Baltimore bridge collapse ($50 million), the third quarter 2024 Calgary Alberta storms ($45 million) and the 2024 Brazil Floods ($41 million), the 2024 Dubai floods ($32 million), the 2024 New Caledonia Riots ($31 million), the 2024 Germany floods ($28 million) and the 2024 Taiwan earthquake ($25 million), with the remaining losses resulting from various events. TheFor $4492025, millionthe offavorable currentdevelopment on prior year catastrophe losses inof 2023$89 million was mainly related primarilyto reserves released related to the 2023 Turkey earthquakes ($103 million),2022 Hurricane Otis ($100 million), the 2023 Italy convective storm ($57 million), the 2023 New Zealand storms ($43 million), the 2023 Morocco earthquake ($40 million), the 2023 Hawaii wildfire ($27 million)Ian and Hurricaneolder Idaliawell-seasoned ($23 million), with the remaining losses resulting from various stormCAT events.

Segment Expenses. Commission and brokerage expense increased by 12.6%4.0% to $3.0 billion in 2025, compared to $2.8 billion in 2024, compared to $2.5 billion in 2023.2024. The increase was mainly due to the impact of the increase in premiums earnedearned, contingent commissions and changes in the mix of business. Segment other underwriting expenses increased to $291 million in 2025 from $290 million in 2024 from $254 million in 2023.2024. The increaseother wasunderwriting inexpenses lineremained withrelatively growthflat into theprior businessyear anddue necessaryto supportexpense functions.management.

Net written premiums decreased by 0.7%1.1% to $3.7$3.6 billion in 2024,2025, compared to $3.7 billion in 2023.2024. The decrease in net written premiumsis compareddue to the increase inreduction gross written premiumspremium waspartially mainlyoffset dueby tobusiness lowermix netand retentionhigher resulting from changesretentions in thecertain mixlines of business.

Premiums earned increased by 4.6%3.9% to $3.7 billion in 2025, compared to $3.6 billion in 2024, compared to $3.4 billion in 2023.2024. The change in premiums earned relative to net written premiums iswas primarily the result of timing as the higher base premium written in 2024 is being earned through the 2025 period; premiums are earned ratably over the coverage period whereas written premiums are generally recorded at the initiation of the coverage period.

ThereExcept for the matter described above, there have been no other material changes to the risk factors disclosed in Item 1A. “Risk Factors” contained in our Annual Report on Form 10-K for the year ended December 31, 2025.

Effective January 1, 2026, we changed our reportable segments, previously reported as Reinsurance and Insurance, to Reinsurance Treaty, Global Wholesale & Specialty, and Legacy, following the sale of the renewal rights for the Commercial Retail Insurance business in certainthe majority of our geographic regions to AIG.American International Group, Inc. (“AIG”). This reflects our sharpened focus on our core global Reinsurance Treaty business as well as the Global Wholesale & Specialty business, and positions the Company for strong performance across market cycles. Accordingly, we revised the presentation of reportable segments to appropriately reflect how the business segments are now managed.managed by recasting specific sections of its 2025 10-K, filed with the SEC on a Current Report Form 8-K dated June 3, 2026.

The following is a discussion of our results of operations, financial condition and liquidity and capital resources for the three and six months ended MarchJune 31,30, 2026. This discussion should be read in conjunction with the consolidated financial statements and related notes, under Part I - Item 1 of this Form 10-Q, as well as the audited consolidated financial statements and notes thereto for the year ended December 31, 2025, included in the Company’s most2025 recentAnnual Report on Form 10-K filing.10-K.

On March 22, 2026, EUGIL,Everest Underwriting Group (Ireland) Limited (“EUGIL”), an Irish direct subsidiary of the Company, entered into a Purchase Agreement with thea Buyer, pursuant to which EUGIL agreed to sell to Buyer, or a Canadian affiliate thereof, all of the outstanding shares of capital of Everest Canada, a Canadian insurance company and a wholly owned subsidiary of EUGIL, representing the Company’s Canadian Commercial Retail Insurance operations for C$410 million, subject to adjustment. The closing of the transaction pursuant to the Purchase Agreement is subject to the satisfaction of customary closing conditions, including the receipt of antitrust approval from the Commissioner of Competition and insurance regulatory approval from the Minister of Finance (Canada).

The transaction is anticipated to close in the second half of 2026, pursuant to customary regulatory approvals and closing conditions. For more details, see the Current Report on Form 8-K filed with the SEC on March 23, 2026 and the Purchase Agreement attached hereto as Exhibit 10.4.10.2 to the quarterly report on Form 10-Q for the three months ended March 31, 2026.

As of MarchJune 31,30, 2026, Everest Canada assets and liabilities are presented as held-for sale within Other assets and Other liabilities on the Company’s consolidated balance sheet. Refer to Note 6 of the Notes to the Consolidated Financial Statements for additional information.

The adverse development cover (“ADC”) is composed of three layers. The first layer is an “in the money” layer whereby the ADC attachment point was $1,250 billionmillion below the Company’s North American Insurance and Legacy segment liability subject reserves of $5.4 billion held as of September 30, 2025. The second layer is $700 million in excess of the $5.4 billion. The Company transferred $1,250 million of in-the-money reserves in consideration for the first two layers upon closing of the transaction. The third layer is $500 million, for which the Company paid approximately $122 million of consideration upon closing of the transaction. The Company has a co-participation of $100 million in each of the second and third layers. For more details, see Form 8-K filed with the SEC on October 27, 2025 and the adverse development reinsurance agreements attached thereto and incorporated by reference in Exhibits 10.57 and 10.58 to the Company’s Annual Report on Form 10-K. The total covered losses ceded to State National Reinsurer as of MarchJune 31,30, 2026 and December 31, 2025 were $1.25$1.26 billion and $1.25 billion, respectively. The aggregated unexpired limit for State National Reinsurer as of MarchJune 31,30, 2026 and December 31, 2025 was $598$592 million and $597 million, respectively. The aggregated unexpired limit for MS Transverse Reinsurer as of MarchJune 31,30, 2026 and December 31, 2025 was $400 million.

On October 26, 2025, the Company entered into an agreement with AIG to sell the renewal rights for certain lines of commercial retail insurance business written by the Company in the U.S., U.K. and Asia Pacific, for an aggregate purchase price of $252 million. AIG paid the Company $30 million for originating and structuring the transaction. In addition, on October 26, 2025, the Company entered into an agreement with AIG to sell the renewal rights for certain lines of the commercial retail insurance business written by the Company in certain countries in the E.U., for an aggregate purchase price of $49 million. The final purchase price under the Master Transaction Agreements will be adjusted to equal 15% of the gross written premiums of the subject business for the year ended December 31, 2025, inclusive of agreed-upon year-end renewals as agreed between the Company and the Buyer.

(NM, not meaningful) (1) Certain assets and liabilities related to the sale of our Canadian and Colombian Commercial Retail Insurance Operations are classified as assets and liabilities held-for-sale beginning in first quarter 2026 within Other Assets and Other Liabilities. Refer to Recent Developments and Note 6 of the Notes to the Consolidated Financial Statements for additional information.

NetPremiums. Gross written premiums decreased by 14.7%19.4% to $3.2$3.8 billion for the three months ended MarchJune 31,30, 2026, compared to $3.7$4.7 billion for the three months ended MarchJune 31,30, 2025, whichdriven is consistent withby the change in gross written premiums as well as the impact of seasonality of Mt. Logan premium cessions on the Reinsurance Treaty segment.following:

Other Income (Expense). The following table shows the components of other income (expense) for the periods indicated:

Net Investment Income. Refer to the “Consolidated Investments Results” Sectionsection below.

Net Gains (Losses) on Investments. Refer to the “Consolidated Investments Results” Sectionsection below.